Stocks Rally With Treasuries as Wage Growth Slows: Markets Wrap
- Jobs report showed a slowdown in wage gains, but robust hiring
- Low unemployment rate complicates the Federal Reserve’s task
This article is for subscribers only.
US stocks had their best day in more than a month as traders speculated that a slowdown in wage growth will keep the Federal Reserve from having to intensify its battle against inflation. Treasuries rallied and the dollar dropped.
The S&P 500 jumped more than 2% to salvage the first weekly advance in the past five, while the Nasdaq 100 rose 0.9% in the four days. The dollar suffered its longest streak of weekly losses in two months as cooler wage growth outweighed an otherwise solid jobs report to fuel expectations the Fed will slow its pace of rate hikes.